01791cam a22002417 4500001000600000003000500006005001700011008004100028100002300069245009600092260006600188490004100254500001600295520085700311530006101168538007201229538003601301700002101337710004201358830007601400856003701476856003601513w1296NBER20161209222852.0161209s1984 mau||||fs|||| 000 0 eng d1 aPearce, Douglas K.10aStock Prices and Economic Newsh[electronic resource] /cDouglas K. Pearce, V. Vance Roley. aCambridge, Mass.bNational Bureau of Economic Researchc1984.1 aNBER working paper seriesvno. w1296 aMarch 1984.3 aThis paper examines the daily response of stock prices to announcements about the money supply, inflation, real economic activity, and the discountrate. Except for the discount rate, survey data on market participants' expectations of these announcements are used to identify the unexpected component of the announcements in order to test the efficient markets hypothesis that only the unexpected part of any announcement, the surprise,moves stock prices. The empirical results support this hypothesis and indicate further that surprises related to monetary policy significantly affect stock prices. There is only limited evidence of an impact from inflation surprises and no evidence of an impact from real activity surprises on the announcement days. There is also only weak evidence of stock price responses to surprises beyond the announcement day. aHardcopy version available to institutional subscribers. aSystem requirements: Adobe [Acrobat] Reader required for PDF files. aMode of access: World Wide Web.1 aRoley, V. Vance.2 aNational Bureau of Economic Research. 0aWorking Paper Series (National Bureau of Economic Research)vno. w1296.4 uhttp://www.nber.org/papers/w129641uhttp://dx.doi.org/10.3386/w1296